Workers’ Compensation – Lump Sum Settlement vs. Periodic PaymentsBy Kenton Koszdin Law Office on July 17, 2019 | In Workers Compensation
The worker can settle via a lump sum payment for any wage benefits or medical benefits or both. A lump sum settlement can also be made for a specific loss such as for an amputation or vision or hearing loss.
Considerations in Accepting a Lump Sum Settlement
Workers often find a lump sum settlement attractive, rather than having smaller amounts paid over time. However, before jumping into such an agreement, consider the following:
- When will I be able to return to work and start earning again?
- What about my medical condition – will it get worse? Will a complication require different and more complicated treatment?
- Why is the insurance company offering a lump sum settlement?
- What is the total long-term value of my current claim?
It’s essential to consider all these facets of your claim and how your medical condition affects your ability to work. Once you accept a lump sum benefit, you may not be eligible for any more WC benefits – even if your condition worsens.
Don’t Accept a Workers’ Compensation Lump Sum Settlement without Consulting an Attorney
The insurance company will try to settle for the least amount possible as it may cost the employer less in the long run. A lump sum settlement must be approved by a WC judge. The judge, however, will focus on whether the worker understands the settlement, not whether the money offered is a fair settlement for your illness or injuries.
By accepting a lump sum settlement, you may be waiving your rights to future benefits. Please consult with an attorney experienced in California Workers’ Compensation claims before making any decision on the offer. You need to consider the pros and cons of a lump sum settlement so you can make the right decision for you and your family.
We Can Help with Your Workers’ Compensation Claim
If you or a loved one has been denied Worker’s Compensation or Social Security Disability (SSD) benefits, it’s important to get an attorney experienced in these types of cases involved immediately. Call our Los Angeles County office at 800.438.7734 for your initial free consultation, either in our office or in the comfort of your own home. The Kenton Koszdin Law Office, Social Security attorney in Van Nuys, can help you navigate the application process for the best possible outcome for you and your family.